Digitimes is reporting that Windows Vista on notebooks is going to become the 'must have' item in the second quarter.   Why?

Microsoft have told all branded makers that they must upgrade all of their notebooks to Vista by the second quarter, or Microsoft will withhold their marketing subsidy. 

Apparently, Microsoft are a little less than happy with the uptake on Vista.  Indeed, Steve Ballmer has already suggested that Wall Street's expectations of revenues from Vista sales may be 'overly optimistic'.  Further, he has suggested that a large part of the problem may be due to piracy , saying: "Piracy reduction can be a source of Windows revenue growth, and I think we'll make some piracy improvements this year."

So, with lower-than-expected revenues from Vista, due at least in part to piracy, Microsoft plan to force the issue by making Vista the only choice for those who purchase notebook PCs.  One can't help but wonder if the same thing isn't happening, or soon to happen, with desktop PCs as well.

While it isn't odd for Microsoft to be pushing the latest OS, it has always been the case in the past that vendors could continue selling the previous OS for upwards of a year after the new product came out.  While that is technically still true, this appears to be the first time MS have actively forced vendors to sell a new OS by threatening marketing co-op money.

Comment in the forums!